FOI 24/25-1296
Scope
I now seek only the most recent document describing "the nature of the
debts within the cohort, the progress and outcome of the 'review' or
'further assessment' process.
Note
Summary statement provides progress of the review and further
assessment processes
Summary Statement The NDIA has been implementing a program of work to improve debt management. Key
elements are:
• A case-by-case review of all historic and open Agency-created debts from 2020
(when the first debts were raised) until 2025.
• A strategic review of the NDIA’s debt management frameworks and processes by
consultant KordaMentha.
• A range of ongoing continuous improvements to ensure consistent and confident
decision-making processes with consideration for procedural fairness, participant
safety, ethics, evidentiary standards and decision governance. This includes
introducing an SLT Debt Panel that now endorses all new debts.
External consultants KordaMentha commenced a strategic review of debt management in
January 2025. The scope of the work includes:
• Gaining a high-level understanding of the processes, policies and systems
• Stakeholder engagement including a walkthrough of processes with Agency staff
• Identification of key gaps and risks
• Identification of good practices that can be implemented within the Agency to
address gaps and risks identified within the current framework
As at 31 March 2025, the NDIA had $42.6 mil ion in Agency-created debt on hand:
• $18.5 mil ion debt for participants (501 participants)
• $24.1 mil ion for providers (165 providers).
In September 2024, an internal Debt Review Team including representatives from Integrity,
Scheme Debt, Service Delivery, and Legal commenced a detailed review of debts.
Participant debts were the initial focus given the priority of remediating any participant
impacts of debts incorrectly raised.
The review of the participant debt cohort is nearing completion. 32 participant debts are stil
under review. These debts require further investigation, including gathering additional
evidence and engaging with the debtor prior to deciding on the revised outcome. The NDIA
is in the process of finalising the approach for participant debts requiring remediation. This
approach is expected to be resolved by the end of August 2025.
The high-level outcomes of the participant debt review wil be communicated publicly
alongside direct communications with impacted participants.
The review of open and closed provider debts (387 debts totalling $57.9 mil ion) has
commenced.
